In a significant judgment, the District Consumer Disputes Redressal Commission of Ranga Reddy has ordered Ola Electric to refund ₹1,63,986 along with 9% interest and pay an additional ₹20,000 in compensation and costs. The decision came in response to a complaint by K. Sunil Chowdary (Case No. CC 620/2023) against Ola Electric, where the company failed to address persistent issues with the Ola S1 Pro electric scooter he purchased. Presiding over the matter, a bench led by Smt. Chitneni Latha Kumari, with members Sri P.V.T.R. Jawahar Babu and Smt. J. Shyamala, ruled in favor of the complainant, finding clear evidence of deficiency in service and unfair trade practices.
Background of the Case:
The case was filed by K. Sunil Chowdary, who purchased an Ola S1 Pro electric scooter from Ola Electric in June 2022. Alongside the vehicle, he invested in extended warranty, Ola Care Plan, and a home hypercharger, totaling an amount of ₹1,63,986. Since the day of delivery, the scooter faced repeated malfunctions. According to Chowdary’s lawyer, T. Vaishnavi, the vehicle’s charger failed initially, and despite repairs, a persistent battery issue continued to plague the vehicle, rendering it unusable. The complainant issued multiple complaints to Ola, but the company’s response was unsatisfactory. In August 2023, after Ola picked up the vehicle for repairs, it allegedly ceased communication, prompting Chowdary to seek legal recourse through a consumer complaint.
Legal Issues in Focus:
The core issues considered by the Commission were:
1. Deficiency in Service: The Commission examined whether Ola Electric’s failure to repair the vehicle within the warranty period constituted a service deficiency.
2. Unfair Trade Practice: The court also looked into whether Ola’s conduct in selling a defective vehicle, coupled with their inadequate after-sales support, amounted to unfair trade practices.
3. Compensation for Mental and Financial Agony: The complainant argued that due to the vehicle’s unreliability and Ola’s negligence, he endured significant mental and financial stress, warranting compensatory relief.
Court’s Observations and Decision:
The Consumer Court found ample evidence to support the complainant’s claims. The Commission noted that Ola Electric’s failure to rectify the product issues or refund the purchase amount despite several attempts by the complainant demonstrated a disregard for consumer rights. The court held Ola Electric liable for deficiency in service and unfair trade practices, quoting:
“The unfair trade practice adopted by the Opposite Party while selling the defective electric two-wheeler and thereafter non-rectification of the problems faced by the complainant within the warranty period…certainly creates not only financial agony but also physical and mental trauma.”
Furthermore, the court pointed out that Ola’s decision to remain ex-parte and unresponsive to multiple notices and legal correspondences from the complainant indicated negligence and lack of accountability.
Final Ruling:
The District Consumer Court, thus, ruled that Ola Electric must:
1. Refund ₹1,63,986 to the complainant with an interest rate of 9% per annum from August 2023 until the payment is realized.
2. Pay an additional compensation of ₹10,000 for the mental and physical suffering caused.
3. Cover litigation costs amounting to ₹10,000.
In a cautionary note, the court added that if Ola Electric fails to comply within 45 days, the interest rate will increase to 12% per annum until the payment is completed.
